Compensation Fund

The mission of the Compensation Fund is to arrange the payment of compensation to clients of securities traders in cases where traders are unable to meet their duty to release assets to clients. The Compensation Fund is not a government-run institution. Its assets are made up of contributions paid by securities traders.

Insured Assets

The Compensation Fund pays compensation for 90% of the value of non-released assets up to the equivalent of EUR 20,000. Compensation is calculated based on the value of assets on the day when the Compensation Fund receives the relevant notice of the Czech National Bank.

Compensation Claim

If a trader is unable to meet his commitments to clients, the Compensation Fund publishes a notice announcing the relevant facts. Clients must submit their claims by the legal deadline. Claims are submitted using the "Claim Registration Form".

Payment Process

Compensation from the Compensation Fund must be paid within three months after the verification of a submitted claim and the calculation of the amount of compensation. The Czech National Bank may extend this deadline in exceptional cases.

News

Letter to Clients of Private Investors a.s. Represented by the Guarantee Fund in Criminal Proceedings

18. 07. 2013

On 9 July 2013, the Securities Traders Guarantee Fund received a ruling delivered by the Prague High Court in criminal proceedings against the managers of Private Investors a.s. The ruling came into legal effect on 9 April 2013. During the proceedings, the Guarantee Fund acted as a collective agent representing clients damaged in the Private Investors a.s. case.

Information on Securities Traders Participating in a Foreign Guarantee Scheme

02. 05. 2013

A foreign entity providing investment services in the Czech Republic is not required to take part in the guarantee scheme operated by the Guarantee Fund if such an entity is a member of a guarantee scheme of investment service providers in the country where it has its head office and registered office.

Information on the Applicability of Presidential Amnesty to the Case of KTP Quantum

22. 02. 2013

On 13 February 2013, the Guarantee Fund received Resolution File No. 2 T 13/2006 that was delivered by the Hradec Králové Regional Court on 31 January 2013. Under the resolution, the court halted criminal proceedings against Karel Takáč and Oldřich Bakus, both executives of the company KTP Quantum a.s., based on an amnesty granted by President Václav Klaus.

Notice of the Securities Traders Guarantee Fund

23. 08. 2012

The Guarantee Fund announces that clients of the defunct securities trader KEY INVESTMENTS, a.s. cannot make effective claims to recover their assets from the mentioned securities trader.

U.K. Clients of MF Global Receive Payments

14. 02. 2012

Wall Street Journal

Administrators handling the U.K. arm of the defunct brokerage MF Global said Monday that they have started making payments to some clients as the process of unwinding the firm continues, and amid the threat of a legal spat with the U.S. trustee for the brokerage.

Notice to Clients of MF Global UK

12. 02. 2012

Clients of the defunct MF Global UK securities trader ("MFG UK") have been requested to submit their claims.

Indemnity plan could cost €28bn

12. 05. 2011

By Steve Johnson Published: October 3 2010 10:15

Guarantee Fund Receives Government Subsidy

29. 04. 2008

Following the receipt of a CZK 800 million subsidy from the central government on April 22, the Securities Traders Guarantee Fund is preparing the prompt redistribution of the funds to clients.

All news